Home improvements that are likely to pay off.

There are many areas in our home that we can invest in, but how do we know if a home improvement is worth the cost. During the pandemic, retailers like Home Depot experienced record sales. They added a record-breaking $40 billion in sales in 2 years which is a sign of how much we spent on our homes during Covid.

With rising real estate costs homeowners have been looking to renovate their current home rather than moving. There have been fewer homes on the market to choose from, and as the market is shifting and more products are coming to line, the price of homes remains high. Often, buying another home doesn’t necessarily mean an upgrade.

As people are beginning to appreciate their home – which may be in a better location – closer to town, in an established neighbourhood – even though knowing that their old place may need some work.

The average renovation pays back about 65 percent of its cost if you sell you house within 5-years after the work is completed. The payback varies depending on the work completed. Here are some of the key areas that are likely to pay off.

01. Front Door Replacement

As they say, “You never get a second chance to make a first impression!” Your front door is the central focal point of your home and what people will see to make an impression of your home. Replacing it with a solid door and hardware that is clean and current will give the impression that your home is in good repair.

02. Garage Door Replacement

Along with the front door, a fresh new garage door can give your house a brand-new look. According to the Remodeling Magazine survey, replacing your garage door can return almost 90% of its cost if you sell your home.

Any move can cause significant stress and disrupt your family’s daily routine. As stressful as home renovations can be, the process is typically more rewarding and fulfilling as you renovate a familiar space and give it a new purpose.

04. Major Kitchen Upgrade

It’s hard to go wrong with a kitchen renovation. If you’re thinking of upgrading with a resale in mind, avoid making overly personal decisions to make your kitchen more sellable. A kitchen redo can cost up to 77% of the cost.

According to HGTV, if a bathroom remodel costs about $10,500 (tub replacement, tile surround, floor, toilet, sink, vanity and fixtures) you can expect to recoup an average of 102% on the cost. It will provide a solid return.

Adding livable square footage will automatically give you more to sell. With a basement, there is nothing worse than a damp basement and unfinished space for a potential buyer to deal with. If you intend to stay in your home, having extra space that can be used for a home office, entertainment room, or a place for the family to watch TV, will ultimately add to the enjoyment of the home.

When to Call the Pro.

Isle West Construction is locally based in the Cowichan Valley and services Vancouver Island specializing in residential and commercial renovation projects. Together we work with local contractors like kitchen designers, electricians and plumbers to ensure safety and proper completion of your renovation. If permits are required from local municipalities, IWC will obtain and assist in obtaining required documentation.

Resources

Home Depot added a record-breaking $40 billion in sales in 2 years.
Source: Business Insider
Date: February 22, 2022
https://www.businessinsider.com/home-depot-record-breaking-sales-growth-house-spending-soars-pandemic-2022-2

Home Renovation Statistics
Source: Remodeling Magazine
Date: 2021 National Averages
https://www.remodeling.hw.net/cost-vs-value/2021/

Will Your Home Renovation Pay Off?
Source: Investopedia
Date: March 12, 2022
https://www.investopedia.com/articles/mortgages-real-estate/08/add-value-to-real-estate.asp